Montana HB25 requires exempt entities to report beneficial use of property to the Department of Revenue.

Montana HB25 mandates that entities granted tax exemptions must report annually to the Department of Revenue if they lease property for the beneficial use of a nonexempt entity or for a nonexempt use. The report must include a description of the leased property and a copy of the lease agreement. If beneficial use is not properly reported, the exemption is revoked, and the property becomes taxable. The owner of the property must pay taxes due for the first year the property becomes taxable, plus an amount equal to the tax due times the number of years the property was tax-exempt.

Montana HB25 requires exempt entities to report beneficial use of property to the Department of Revenue.

Montana HB25 mandates that entities granted tax exemptions must report annually to the Department of Revenue if they lease property for the beneficial use of a nonexempt entity or for a nonexempt use. The report must include a description of the leased property and a copy of the lease agreement. If beneficial use is not properly reported, the exemption is revoked, and the property becomes taxable. The owner of the property must pay taxes due for the first year the property becomes taxable, plus an amount equal to the tax due times the number of years the property was tax-exempt.